Totally agree with the points presented in the article. It will surely hyperdrive adoption of NFT and metaverse once the interoperability issue is resolved.
The metaverse is supposed to be a huge interconnected network, not a collection of separate islands. The use case and the value of assets will be enhanced significantly once they can be utilised across different platforms. And that will also drive cooperation, collaboration and collective creativity as the developers will be more encouraged to develop new cool stuffs knowing that their creations will be able to work in multiple platforms and therefore reach a much larger group of potential customers.
Network effect is the most important measurement of the success of the metaverse. With a bigger customer base, network effect increases, and the assets jump in value. Connecting the different platforms into a consolidated metaverse helps achieve stronger network effect, just like what happened to the Internet a few decades ago.
It’s even more true and applicable to the NFT market as a whole, not even game related NFT. As of now, NFT arts in particular are residing in their own networks, restricting their reach to a global audience. Even the biggest NFT marketplace, OpenSea , does not support all networks, just the major ones. That hugely limits the marketability of NFT in minor networks. If one day in the future, you can mint a NFT in any network, and list it for sale in a global
marketplace, without paying huge gas fee, I believe the market will explode and the true value of NFT will surely shine.
The issue is not restricted to the NFT market though. If you look further, into the crypto space as a whole, interoperability is still a big problem with no simple solution. Different networks don’t talk to each other easily, and tokens listed on one exchange cannot be easily bridged to another exchange. Of course, major coins and tokens are widely supported, but those smaller coins will find it hard to get liquidity, especially in bear market like now. That drives companies to develop bridges, but they are just tactical fixes, not long term solutions. If there can be a standard communication protocol between different blockchain networks, the blockchain industry will be in hyperdrive. But until then, we have to make do with transferring tokens across different bridges and paying toll along the way. #nft #blockchain #crypto #itnteroperability #bridges